Hey Bloggers – The topic today is Harmonized Sales Tax.

In summary, the Province of Ontario plans a major tax reform that will combine both the provincial and federal sales tax on products and services. The current combined tax of 5% GST and 8% Ontario sales tax won’t change the price on most items. But many items that used to be exempt from sales tax will no longer be so. Leading economists from across the country say the Harmonized Sales Tax is the single most important step Ontario can take to boost its economy. They also say Harmonizing the GST and PST will save employers $2 billion that can be used to lower prices to the consumer, increase investment and create jobs. It’s set to begin July 1st, 2010.

How does this relate to you and the real estate industry?  The taxes will add a significant amount to the cost of home ownership. OREA (The Ontario Real Estate Association)  says the “average” buyer will have to pay an additional $1,449 in new taxes on their next real estate transaction. In a ‘call to action’ the OREA members have sent over 13,000 e-mails to local MPP’s across Ontario asking them to reconsider. BCREA has devoted a web page to the HST. www.bcrea.bc.ca/hst/hstaction.htm

It will be interesting to see how this plays out. As always, any comments you may have can be left here on my Blog.

Want to learn more?  Here is another good website: http://www.cbc.ca/money/story/2009/03/27/f-tax-faq.html

In Canada, Thanksgiving is celebrated on the second Monday in October. The origin and history of Thanksgiving Day in Canada is different from the American Thanksgiving. Whereas the American tradition talks about remembering Pilgrims and settling in the New World, Canadians give thanks for a successful harvest. The geographical location of Canada is further north as compared to the United States therefore the harvest season falls earlier in Canada.

History and Origin of Canadian Thanksgiving

There are three traditions behind Canadian Thanksgiving Day:

1. The farmers in Europe held celebrations at the time of harvesting to give thanks for their good fortune of a bountiful harvest and abundance of food. The farmers would fill a goat’s curved horn with fruits and grains. This curved horn was known as a cornucopia or the horn of plenty. It is believed that when the European farmers came to Canada they brought this tradition of Thanksgiving with them.

2. The history of Thanksgiving in Canada is related to Martin Frobisher, who was an English navigator. He made a lot of efforts to find a northern passage to the Orient. Though he did not succeed in his efforts but he was able to establish a settlement in Northern America. In the year 1578, he held a formal ceremony, in what is now known as Newfoundland, to give thanks for surviving the long journey. This is considered the first Canadian Thanksgiving. Martin Frobisher was later knighted and an inlet of the Atlantic Ocean in northern Canada was named as ‘ Frobisher Bay’ after him. When other settlers arrived here they continued this ceremony of giving thanks.

3. The third influence occurred in 1621 in what is now the United States. Here the pilgrims, who were the English colonists, celebrated their first harvest in the New World at Plymouth Massachusetts. By the 1750s this celebration of harvest was brought to Nova Scotia by American settlers from the south.

In the 1600s, another navigator Samuel de Champlain crossed the ocean and arrived to Canada. Other French Settlers also came with him and their group held huge feasts of thanks for the harvests. On this event they shared their food with the Native American neighbors and thus involved them in their celebrations. Then they formed ‘ The Order of Good Cheer’ which marked the harvests and other events as well.

After the Seven Year’s War ended in 1763, the citizens of Halifax held a special day of Thanksgiving.

During the American Revolution the Americans who remained loyal to England moved to Canada. They brought with themselves the customs and practices of the American Thanksgiving to Canada.

In 1879, the Parliament declared 6th day of November as the day of Thanksgiving and also declared it a national holiday. Over the years different dates were used for celebrating the Thanksgiving Day in Canada but the most popular date was the 3rd Monday of October.

After World War I, both Armistice Day and Thanksgiving Day were celebrated on a common day that was Monday of the week in which fell the 11th day of November. Ten years later, in 1931, both Armistice Day and Thanksgiving Day became separate holidays and Armistice Day was renamed as the ‘Remembrance Day’.

Finally, on January 31st, 1957, the Parliament issued a proclamation to fix permanently the 2nd Monday in October as the Thanksgiving Day.

Ontario’s Bill 118

Ontario’s Bill 118, an amendment to the Highway Traffic Act is now in effect and bans drivers from using handheld devices with display screens while operating a vehicle on the road. Here is a summary of the new rules:

• Holding or using a wireless communication device (a cell phone) or a portable electronic entertainment device (iPod) while driving is prohibited.

• Commercial GPS units along with similar dashboard-mounted devices that provide gauges and displays relating to logistical or navigation uses are permitted.

• Using a cell phone or wireless communication device in hands-free mode, as long as you’re not holding it during use, is permitted.

• Using any device while pulled-over or parked in a way that you are not disrupting traffic, is permitted.

• The systems used by Ambulances, Fire Departments, and Law Enforcement are exempt.

The ban is in effect as of September 1, 2009 and will carry a fine of $500. Demerit points will not be included but depending upon the violation, police will have the option to also use existing careless driving laws for additional penalties.

This bill has been passed for the safety and protection of all drivers on the road.

Why use The Salisbury Team?  These sellers are sure glad they did!

I listed their home on a Monday, we had 8 showings in 5 days. Had an offer registered by a realtor at 10am Saturday morning. Instead of presenting the offer right away, I called all the other 7 realtors to see if their buyers had any interest. Sure enough we rustled up another offer and ended up in a multiple offer situation. My seller received a great deal more than the asking price, no conditions, and they even got the closing date they wanted. The extra work I did paid off huge for these clients. Who do you know that might need a Realtor who will work this hard for them?